Freight rates may stay high, even after China lifts Covid-19 restrictions, says shipbuilder

The cost to ship containers has soared as a result of bottlenecks at major ports. PHOTO: REUTERS
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SINGAPORE- With global inflation at its highest levels in years, some shipping insiders say freight rates could stay elevated, even after Covid-19 restrictions are lifted in China and disruptions to the global supply chain have eased.

"The current level of freight rates is sustainable as demand will compensate for any dip (in rates) resulting from the removal of restrictions and lockdowns," said Yangzijiang Shipbuilding chairman Ren Yuanlin.

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